Finding Text
Finding No.: 2022-005
Federal Agency: U.S. Department of the Interior
AL Program: 15.875 Economic, Social, and Political Development of the Territories
Federal Award No.: Compact Sector Grants
Questioned Costs: $ Undeterminable
Federal Agency: U.S. Department of the Interior
AL Program: 15.875 Economic, Social, and Political Development of the Territories
Federal Award No.: Enewetak/Ujelang Local Government (EULG) Food and Agriculture
Support Program
Questioned Costs: $ Undeterminable
Federal Agency: U.S. Department of Health and Human Services
AL Program: 93.323 Epidemiology and Laboratory Capacity for Infectious Diseases
Federal Award No.: NU50CK000558
Questioned Costs: $ Undeterminable
Area: Period of Performance
Criteria:
Grant agreements stipulate the period of performance during which time only costs resulting from
obligations of the funding period may be charged.
Condition 1:
For $573,068 of $31,492,268 in total ALN 15.875 (Compact Sector Grants) expenditures,
compliance with period of performance requirements for nine cost centers (CC #s CJ8386, CK6028,
CK8113, CK8171, CL6030, CL6031, CL8126, CL8171 and CL8401) could not be ascertained due
to lack of underlying grant agreements.
Condition 2:
For $2,126,731 of $2,199,010 in total expenditures for ALN 15.875 (EULG Food and Agriculture
Support Program), such were charged to a single cost center (CM6226) that relates to two grant
agreements with different periods of performance. Compliance with period of performance
requirements regarding costs totaling $826,606 related to award no. D22AF00084-00 could not be
ascertained.
Condition 3:
For $1,628,416 of $2,880,710 in total expenditures for ALN 93.323 (Epidemiology and Laboratory
Capacity for Infectious Diseases), compliance with period of performance requirements for five cost
centers (CC #s FK7609, FL7615, FL7616, FN7610 and FN7618) could not be ascertained due to
lack of underlying grant agreements.
Cause:
RepMar lacks adequate internal control policies and procedures requiring retention of all grant
agreements and creation of a unique cost center for each grant award.
Effect:
RepMar is potentially in noncompliance with applicable period of performance requirements.
Questioned costs, if any, that may result from the above conditions, are not determinable.
Identification as a Repeat Finding:
Finding No. 2021-004 (ALN 15.875 Compact Sector Grant)
Recommendation: RepMar should implement adequate internal control policies and procedures
requiring retention of all grant agreements and creation of a unique cost center for each grant award.
Views of Responsible Officials:
We agree with the finding and provide details in our Corrective Action Plan.